Arconic Inc., the spun off from the US aluminium giant Alcoa Corporation is seeking to sell its Russian business, as per the statement released by the company.
The losses for the American industrial company, Arconic, specializing in lightweight metals engineering and manufacturing anticipated attaining $500 million in the proposal to exit the Russian market.
Arconic Inc. said, "The Company undertook a thoughtful review of strategic alternatives given the limitations imposed on our operations by the Russian government and as a result of the ongoing legal dispute with the Russian Federal Antimonopoly Service.”
After conducting this review, the board of directors has recommended that the company pursue the sale of its Samara, Russia facility under all applicable laws.
Tim Myers, the CEO of Arconic stated, “Sadly, the conflict in Ukraine has made our operation in Russia untenable. We continue to prioritize the safety and well-being of our more than 3,000 world-class employees and their families."
JSC Arconic SMZ (formerly Samara Metallurgical Plant) has been a part of Arconic since 2005. The company produces a wide range of rolled, pressed and forged products.
Arconic Corp. said with its Russian operations being sold, the company joins other US companies fleeing the region after the geopolitical tension made doing business there untenable.
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